Cameron Winklevoss claims regulatory double standards over banking crisis
According to Winkelvoss, if First Republic had been a “crypto bank” it would have been “assassinated weeks earlier. Related: First Republic Bank dives another 20% with Bitcoin ready for $40K Things came to a head for First Republic on Monday, April 23, when the beleaguered firm reported in its Q1 profits call that amount to deposits had dropped by more than $100 billion. The company mentioned that it would be “pursuing strategic choices” to strengthen its financial standing as rapidly as possible.Since Monday, shares in First Republic Bank have collapsed more than 64%, falling from $16.14 to just $5.68 at the time of writing.
Both Silvergate and Silicon Valley Bank were taken into federal government receivership on March 8 and March 10 respectively. Advisors at First Republic apparently said that the current private market service to the firms liquidity problems would see the bank stay in operation. Federal government receivership is being referred to as the “closed-bank” scenario.Charles Gasparino, Senior Correspondent at Fox News informed his 160,000 Twitter fans on April 26 that the “personal bailout” is being pushed by the U.S. Treasury Secretary Janet Yellen who does not want to bail out depositors with government funds as they did with Silvergate and Silicon Valley Bank.
Cameron Winklevoss, the co-founder, and CEO of New York-headquartered crypto exchange Gemini, has accused U.S. regulators of perpetrating double standards in dealing with the First Republic Bank crisis. According to Winkelvoss, if First Republic had actually been a “crypto bank” it would have been “assassinated weeks back.” It is essential to note that First Republic at first began experiencing “structural challenges” with its balance sheet at the time that Silicon Valley Investment Bank and Silvergate Bank were being shut down by federal regulators or unwinding operations. First Republic Bank is down another 35% and falling quickly. If this was a “crypto” bank it would have been assassinated weeks earlier. The fact that is hasnt been taken into receivership shows simply how blatant the double standard is.– Cameron Winklevoss (@cameron) April 26, 2023
Related: First Republic Bank dives another 20% with Bitcoin prepared for $40K Things capped for First Republic on Monday, April 23, when the beleaguered firm reported in its Q1 revenues call that total deposits had actually plummeted by more than $100 billion. The company stated that it would be “pursuing strategic alternatives” to reinforce its financial standing as rapidly as possible.Since Monday, shares in First Republic Bank have actually collapsed more than 64%, falling from $16.14 to just $5.68 at the time of writing. Republic Bank share rate because Feb. 2, 2023. Source: TradingView.The downfall of First Republic Bank is believed to be supplying a tailwind for financial investment into Bitcoin and other cryptocurrencies, as financiers grow increasingly distrustful of central banking institutions. At the time of composing Bitcoin (BTC) was trading for $29,279 up 7% over the last seven days according to information from the Cointelegraph Price Index. Publication: Unstablecoins: Depegging, bank runs and other dangers loom